Chapter 5 Flashcards
What does one acre equal?
A. 0.0015625 square miles
B. 4,840 square yards
C. 43,560 square feet
D. All of the above
Which statement regarding points is NOT true?
A. In real estate mortgages, a point refers to the origination fee charged by the lender
B. Each point is equal to 1% of the amount of the loan.
C. The primary purpose of buying discount points from the lender is to reduce your closing costs.
D. If a bank charges an up-front fee for the loan, it often expressed in terms of points.
C. The primary purpose of buying discount points from the lender is to reduce your closing costs.
Which of the following payments are not paid in arrears?
A. Rent
B. Mortgage principal
C. Interest in a proration
D. Mortgage interest
A. Rent
A statutory year has 365 days.
A. True
B. False
B. False
Which statement is NOT true regarding prorations at closing for a real estate contract?
A. All property tax prorations will be a credit for the seller.
B. Prorations can be a credit or debit for either party.
C. Sellers must pay their fair share of property taxes.
D. Buyers must pay their fair share of pre-paid interest.
B. Prorations can be a credit or debit for either party.
How many square feet are in an acre?
A. 640
B. 43,560
C. 5,280
D. 11,798
B. 43,560
Jim owns 1,920 acres of land. How many sections does he own? A. 3 B. 2,200 C. 640 D. 10
A. 3.
The solution is 1,920 ÷ 640 = 3.
A discount point is 1% of the ________.
A. Sales price
B. Monthly payment
C. Loan amount
D. Interest rate
C. Loan amount.
A point is always 1% of the loan amount. Five points would be 5% of the loan amount.
How many square feet are in an acre?
A. 640
B. 43,560
C. 5,280
D. 11,798
B. 43,560.
There are 43,560 square feet in an acre.
Length × Width × Height =?
A. A section
B. Square foot
C. Cubic feet
D. Mile
C. Cubic feet.
Length times width times height equals cubic feet. A section is 640 acres and a mile is 5,280 feet.
A lot is 150’ × 200’. How many square feet are in the lot?
A. 30,000
B. 70,000
C. 15,000
D. 45,000
A. 30,000
The solution is 150’ × 200’ = 30,000’.
Mark would like to stand out to prospective home buyers and seller as a REALTOR® who has gained in-depth knowledge on technical subjects as well as the fundamentals of real estate. What designation will help Mark do this? A. GRI B. CCIM C. CPM D. GAA
A. GRI.
Mark has several clients who are very interested in the environment and living in home with green features. What designation would help Mark with those clients?
A. CPM
B. GREEN
C. CCIM
D. PMN
B. GREEN.
Some of Mark’s clients are over the age of 50 and thinking about retiring, senior living, and downsizing. What designation would help with this?
A. SRES
B. SIOR
C. SFR
D. RAA
A. SRES.
Who awards the designation of Certified Property Manager?
A. TREC
B. NAR
C. IREM
D. BOMA
C. IREM